Weakness for fat male

With some packers out of the market, increased supply, and sluggish beef sales, prices for fat male and heifers dropped R$ 3.00 early this week, while cow prices remained unchanged, according to Scot. Nationally, the fat male closed last week at R$/@ 291.2, down 2.5% from the previous week. As pasture conditions deteriorate, ranchers have accelerated herd liquidation. Combined with slow demand and limited deals during the week, wholesale bone-in beef prices fell across all categories.

A key development for the future market dynamic was last week’s report from Brazil’s agriculture ministry (Mapa) of an avian influenza case on a commercial farm. This has already led several export markets to ban Brazilian poultry meat. The restriction may temporarily increase poultry availability in the domestic market, heightening protein competition and pressuring prices across the sector.